Is the SEO Shop Losing its Value?

Mike Grehan wrote a ClickZ post yesterday about how SEO seems to be an art that is losing its value. His argument is that "textbook SEO" is being replaced by newer methods of optimization, such as social media and other forms of internet marketing. Additionally, SEO recommendations from a case study seems to work for only so long. Eventually, the recommendations are implemented and additional suggestions are of "limited" value to the client who signs up for SEO services.

Many say that it's just harder and it's evolving differently. For example, AussieWebmaster says that it's not as easy since Google Universal search has been revealed.

A lot of it really has to do with finding the right SEO though:

Keyword meta tag optimizers/spammers are a dime a dozen but, those folks who know how to get maps listed, results for local, videos indexed, news posted, products fead, gadgets gotten, locations on Earth and plus boxes FREE on "the Google", are worth their weight in Gold.

What are your thoughts on the "diminishing value" of the SEO practice?